The difficulty of identifying the causal determinants of successful firm performance is called

Abstract

As a potential theory, the elemental resource-based view (RBV) is not currently a theoretical structure. Moreover, RBV proponents have assumed stability in product markets and eschewed determining resources' values. As a perspective for strategic management, imprecise definitions hinder prescription and static approaches relegate causality to a "black box." We outline conceptual challenges for improving this situation, including rigorously formalizing the RBV, answering the causal "how" questions, incorporating the temporal component, and integrating the RBV with demand heterogeneity models.

Journal Information

The Academy of Management Review, now in its 26th year, is the most cited of management references. AMR ranks as one of the most influential business journals, publishing academically rigorous, conceptual papers that advance the science and practice of management. AMR is a theory development journal for management and organization scholars around the world. AMR publishes novel, insightful and carefully crafted conceptual articles that challenge conventional wisdom concerning all aspects of organizations and their role in society. The journal is open to a variety of perspectives, including those that seek to improve the effectiveness of, as well as those critical of, management and organizations. Each manuscript published in AMR must provide new theoretical insights that can advance our understanding of management and organizations. Most articles include a review of relevant literature as well. AMR is published four times a year with a circulation of 15,000.

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The Academy of Management (the Academy; AOM) is a leading professional association for scholars dedicated to creating and disseminating knowledge about management and organizations. The Academy's central mission is to enhance the profession of management by advancing the scholarship of management and enriching the professional development of its members. The Academy is also committed to shaping the future of management research and education. Founded in 1936, the Academy of Management is the oldest and largest scholarly management association in the world. Today, the Academy is the professional home for more than 18290 members from 103 nations. Membership in the Academy is open to all individuals who find value in belonging.

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journal article

A Resource-Based Perspective on Information Technology Capability and Firm Performance: An Empirical Investigation

MIS Quarterly

Vol. 24, No. 1 (Mar., 2000)

, pp. 169-196 (28 pages)

Published By: Management Information Systems Research Center, University of Minnesota

//doi.org/10.2307/3250983

//www.jstor.org/stable/3250983

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Abstract

The resource-based view of the firm attributes superior financial performance to organizational resources and capabilities. This paper develops the concept of IT as an organizational capability and empirically examines the association between IT capability and firm performance. Firm specific IT resources are classified as IT infrastructure, human IT resources, and IT-enabled intangibles. A matched-sample comparison group methodology and publicly available ratings are used to assess IT capability and firm performance. Results indicate that firms with high IT capability tend to outperform a control sample of firms on a variety of profit and cost-based performance measures.

Journal Information

The editorial objective of the MIS Quarterly is the enhancement and communication of knowledge concerning the development of IT-based services, the management of IT resources, and the use, impact, and economics of IT with managerial, organizational, and societal implications. Professional issues affecting the IS field as a whole are also in the purview of the journal.

Publisher Information

Established in 1968, the University of Minnesota Management Information Systems Research Center promotes research in MIS topics by bridging the gap between the corporate and academic MIS worlds through the events in the MISRC Associates Program.

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